Washington -LRB- CNN -RRB- -- The Senate will hold its final vote on a sweeping health care bill Thursday morning under an agreement that Majority Leader Harry Reid announced Tuesday .

The vote had been expected on the night of Christmas Eve due to Republican delay tactics to hold off the measure . Reid has insisted it be passed before Christmas .

Reid and Senate Minority Leader Mitch McConnell , R-Kentucky , decided on a timetable to vote on the health care bill and an extension of the federal debt limit on Thursday morning .

First , the Senate will hold another procedural vote on the health care bill Wednesday to set up the final vote .

This procedural vote will require support from all 60 members of Reid 's Democratic caucus to overcome a Republican filibuster . The vote Thursday on final passage will need a simple majority of 51 in the 100-member chamber .

Earlier Tuesday , Democrats cleared the second of the three key procedural hurdles on the sweeping $ 871 billion measure .

The Senate voted 60-39 along party lines to adopt changes negotiated by Reid . The Senate also set a timetable for ending debate on the bill .

Obama said Tuesday he would delay leaving for his Christmas holiday in Hawaii until the Senate holds its final vote on the bill .

`` I will not leave until my friends in the Senate have completed their work , '' Obama said . `` My attitude is that if they 're making these sacrifices to provide health care to all Americans , then the least I can do is be around to provide them any encouragement and last-minute help where necessary . That 's the deal . ''

The first procedural vote early Monday virtually ensures the bill 's final approval , but any measure the Senate passes still would have to be merged with the $ 1 trillion House version in what could be tough negotiations .

`` Health care reform is not a matter of if , '' White House press secretary Robert Gibbs said , `` health care reform now is a matter of when . ''

Sen. Max Baucus , D-Montana , chairman of the Senate Finance Committee , declared that `` the finish line is in sight . ''

`` We 're not the first to attempt such reforms , but we will be the first to succeed , '' Baucus said .

Republicans have mounted a fierce campaign against the bill , using procedural tricks to slow debate and casting the measure as an unnecessary government intrusion in health care that will raise costs .

In remarks Tuesday on the Senate floor , Reid acknowledged the toxic political environment surrounding the nearly yearlong debate .

Senators should set aside `` personal animosity , '' he said . `` There 's a lot of tension in the Senate , but I would hope everyone would go back to their gentlemanly ways . ... Let 's just all try to get along . ''

If a combined House-Senate health care bill wins final approval from Congress and Obama signs it , the measure would be the biggest expansion of federal health care guarantees since the enactment of Medicare and Medicaid more than four decades ago .

The influential American Medical Association , a traditional opponent of overhauling health care , endorsed the Senate measure hours after a rare 1 a.m. Monday vote to start winding down debate .

Read CNN 's Dr. Sanjay Gupta 's take on the health care bill

To Democrats , Monday 's vote signaled eventual victory on the Senate bill . `` The die is cast . It 's done , '' Sen. Charles Schumer , D-New York , said .

Watch how deals got the bill moving

Compromises made to win the backing of lawmakers such as Sens. Ben Nelson , D-Nebraska , and Joe Lieberman , a Connecticut independent , enraged many liberal Democrats and threatened to undermine support for the bill .

Liberal Democrats are upset with Reid 's decision to abandon a government-run public health insurance option and an expansion of Medicare to Americans as young as 55 .

But top Democrats argue the Senate bill still would constitute a positive change of historic proportions . The legislation would extend health insurance coverage to more than 30 million uninsured Americans while reducing the federal deficit , according to the Congressional Budget Office .

The House and Senate bills agree on a broad range of changes that could affect every American 's coverage .

Among other things , they have agreed to subsidize insurance for a family of four making up to roughly $ 88,000 annually , or 400 percent of the federal poverty level .

Watch how the health care overhaul could affect you

They also have agreed to create health insurance exchanges designed to make it easier for small businesses , the self-employed and the unemployed to pool resources and purchase less expensive coverage . Both the House plan and the Senate bill eventually would limit total out-of-pocket expenses and prevent insurance companies from denying coverage for pre-existing conditions .

Insurers also would be barred from charging higher premiums based on a person 's gender or medical history . However , both bills allow insurance companies to charge higher premiums for older customers .

Medicaid would be significantly expanded under both proposals . The House bill would extend coverage to individuals earning up to 150 percent of the poverty level , or roughly $ 33,000 for a family of four ; the Senate plan ensures coverage to those earning up to 133 percent of the poverty level , or just more than $ 29,000 for a family of four .

Major differences between the bills would be the focus of a conference committee that would try to merge them .

One of the biggest divides is over how to pay for the plans . The House package is financed through a combination of a tax surcharge on wealthy Americans and Medicare spending reductions .

Specifically , individuals with annual incomes more than $ 500,000 -- as well as families earning more than $ 1 million -- would face a 5.4 percent income tax surcharge .

The Senate bill also cuts Medicare by roughly $ 500 billion . But instead of an income tax surcharge on the wealthy , it would impose a 40 percent tax on insurance companies providing what are called `` Cadillac '' health plans valued at more than $ 8,500 for individuals and $ 23,000 for families .

Proponents of the tax on high-end plans argue it 's one of the most effective ways to curb medical inflation . However , House Democrats oppose taxing such policies because it would hurt union members who traded higher salaries for more generous health benefits .

The Senate bill also would hike Medicare payroll taxes on families making more than $ 250,000 ; the House bill does not .

Another key sticking point is the dispute over a public option . The House plan includes a public option ; the Senate plan would instead create new nonprofit private plans overseen by the federal government .

Individuals under both plans would be required to purchase coverage , but the House bill includes more stringent penalties for most of those who fail to comply . The House bill would impose a fine of up to 2.5 percent of an individual 's income . The Senate plan would require individuals to purchase health insurance coverage or face a fine of up to $ 750 or 2 percent of his or her income -- whichever is greater . Both versions include a hardship exemption for poorer Americans .

iReport.com : Give your thoughts on the Senate health care bill

Employers face a much stricter mandate under the House legislation , which would require companies with a payroll of more than $ 500,000 to provide insurance or pay a penalty of up to 8 percent of their payroll .

The Senate bill would require companies with more than 50 employees to pay a fee of up to $ 750 per worker if any of their employees rely on government subsidies to purchase coverage .

Abortion also has been a sticking point for both chambers . A late compromise with Catholic and other conservatives in the House led to the adoption of an amendment banning most abortion coverage from the public option . It would also prohibit abortion coverage in private policies available in the exchange to people receiving federal subsidies .

Senate provisions , made more conservative than initially drafted to satisfy Nelson , would allow states to choose whether to ban abortion coverage in plans offered in the exchanges . Individuals purchasing plans through the exchanges would have to pay for abortion coverage out of their own funds .

CNN 's Ted Barrett , Dana Bash and Alan Silverleib contributed to this report .

@highlight

NEW : Senate majority leader moves up final vote to earlier Thursday

@highlight

NEW : President Obama says he 'll delay leaving for holidays till Senate holds final vote

@highlight

Democrats clear second of three key procedural hurdles to overhaul health care

@highlight

Move follows Monday vote that seems to assure final passage in Senate